On the Move: What is the Houston relocation outlook for 2014?

Updated 2:37 pm, Tuesday, January 28, 2014

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Fred Welch

Fred Welch

On the Move: What is the Houston relocation outlook for 2014?

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Last year was certainly a big year for Houston in terms of our economy, record-breaking real estate market, job opportunities, and favorable business climate that continues to attract many companies to open offices or relocate their headquarters here.

Fortunately for Houston, the outlook for 2014 seems to be very similar to the much-celebrated 2013.

Fred Welch, vice president of regional economic development for the Greater Houston Partnership, said in a recent interview that the GHP believes that 2014 will be a strong year for Houston.

"Our job forecast is down slightly from 2013 to slightly under 70,000 net new jobs in the region vs. 76,000 in 2013, but it still points to a strong local economy driven by our pillars of strength in energy, logistics and manufacturing."

As for continued growth in the area of corporate expansions into the Houston area, Welch said that all indications point in a positive direction.

"The office market (corporate headquarters, financial services and back office support) will be robust in 2014. We have not yet overbuilt in the markets and sub-markets that support corporate expansions. All indications are that this will be a year of continued growth. The Houston GDP (gross domestic product) is expected to grow at a range of 2.5 percent to 3 percent this year. That is very sustainable growth in all areas."

According to Welch, the top motivating factors that are driving businesses into the Houston region are the low cost of doing business in Texas and the competitive tax structure, both of which add to the quality of life, the affordability, and the openness that the Houston area has to offer.

"This region remains the best value proposition to start or expand a business enterprise. Houstonians have a can-do attitude and welcome new and innovative ideas," he said.

Welch said the GHP is continuing to entice companies into the Houston area through its "Opportunity Houston" program, an aggressive marketing program that generates leads for economic development organizations throughout Houston's 10-county region.

Now in its second phase, "Opportunity Houston 2.0" is a six-year program that will run from 2014 to 2020. Welch said that during this time period, GHP's goal is to attract 450,000 new jobs to the region and gain capital investment of more than $45 billion.

"This goal is ambitious, but achievable. We will be adding additional emphasis on promoting Houston's quality of life to the next generation of college graduates seeking an exciting place to launch their careers. Additionally, we will be focusing attention on the existing workforce and harnessing the resources of our local employers, training institutions and community networks to assure we can train and retain a quality workforce to support the expanding needs of the community.

"Houston makes good sense for business because it is a global city offering the resources and talent that will enable business to grow and prosper," Welch said.

As for the Houston hiring outlook in 2014, Welch said it will be competitive.

"We are at 6 percent unemployment, but with 2.2 million workers, that still provides a vast pool of workers who may want employment but do not have the requisite skills to take on a new position. The ability to train and retrain our workforce to adapt to the changing needs will come to the forefront in 2014. The GHP has been working with a task force composed of industry, academia and the social network supporting our underutilized workforce for several months to develop strategies to implement across the MSA (metropolitan statistical area) that will enable and provide a trained workforce to meet the changing needs of industry."

Welch said that Houston continues to successfully attract companies and their employees, as well as recent college graduates into the region. He said that companies are drawn to the Houston region because it is open to new ideas, provides a business environment that is conducive to growth, and offers a high quality of life.

"We must continue to grow on this success to be a great city. The leadership in both the private and public sectors will need to continue to work on the quality of life issues that have made us such a great place. The GHP is the catalyst to convene these sectors and reach consensus on a path to success. Led by its members and a dedicated staff, a bright and bountiful future can be achieved in 2014 and the years to follow."

Michelle Sandlin is a writer who has been involved in the relocation industry for many years. She is the 2014 president of Houston Relocation Professionals (HRP), and vice president/director of communications and marketing for Chicago Title. Follow Michelle on Facebook: www.facebook.com/HoustonRelocation and on Twitter: @MichelleSandlin. Also visit "On the Move - Exploring Houston Relocation with Michelle Sandlin" at blog.chron.com/onthemove.

If you have something to share or contribute, please send an email to michelle.sandlin@me.com. Please look for another Michelle Sandlin "On the Move" relocation article in today's Homes section.